CANADA FX DEBT-C$ jumps to session high after BoC raises rates

Wed Sep 8, 2010 9:09am EDT
Email This Article |
Share This Article
  • Facebook
  • LinkedIn
  • Twitter
| Print This Article
[-] Text [+]

 TORONTO, Sept 8 (Reuters) - The Canadian dollar jumped to a
session high against the U.S. currency on Wednesday after the
Bank of Canada raised interest rates, as expected.
 The Canadian dollar CAD=D4 rose to C$1.0441 to the U.S.
dollar, or 95.78 U.S. cents, up from C$1.0486 to the U.S.
dollar, or 95.37 cents, just ahead of the policy announcement.
It was also firmer than Tuesday's close at C$1.0480 to the U.S.
dollar, or 95.42 U.S. cents.
 The Bank of Canada raised its benchmark interest rate for a
third consecutive time by 25 basis points, to 1 percent, but
cautioned that a weak U.S. economy would hamper Canada's
recovery. For more see [ID:nBCL8KE615].
 Short-dated government bonds turned lower, while
longer-dated maturities extended the decline after the
 (Reporting by Ka Yan Ng; Editing by James Dalgleish)